The PenFed Foundation for Military Heroes has identified the leading cities in the United States for veteran entrepreneurs in 2025. According to the foundation’s recent study, Washington D.C. ranks as the best city for veterans to launch their businesses, followed closely by Raleigh and Tampa. The study, which was conducted in collaboration with Polco and the National Research Center (NRC), assessed various factors including livability, support for veterans, economic growth, and the overall business climate.
In this year’s analysis, Tampa notably improved its position, leaping from 13th to 3rd place. The research focused on 387 metropolitan statistical areas, using data from over 30 publicly available sources to evaluate the entrepreneurial landscapes for veterans. A total of 53 quantitative indicators were used to derive these rankings, highlighting opportunities both in large urban centers and smaller cities.
Andrea McCarren, President of the PenFed Foundation for Military Heroes, emphasized the unique qualities veterans bring to entrepreneurship. “Our nation’s veterans bring leadership, discipline, and an unwavering commitment to every challenge they take on,” she stated. “Those same qualities make them exceptional entrepreneurs. This study shines a spotlight on the cities that are creating real opportunities for veterans to thrive as business owners.”
Top Cities for Veteran Entrepreneurs
The study outlines the top large cities for veteran entrepreneurs, with the following rankings:
1. Washington-Arlington-Alexandria, DC-VA-MD-WV Metro Area
2. Raleigh-Cary, NC Metro Area
3. Tampa-St. Petersburg-Clearwater, FL Metro Area
4. Austin-Round Rock-San Marcos, TX Metro Area
5. Dallas-Fort Worth-Arlington, TX Metro Area
6. Seattle-Tacoma-Bellevue, WA Metro Area
7. San Antonio-New Braunfels, TX Metro Area
8. Milwaukee-Waukesha, WI Metro Area
9. Cleveland, OH Metro Area
10. Denver-Aurora-Centennial, CO Metro Area
11. New York-Newark-Jersey City, NY-NJ-PA Metro Area
12. Boston-Cambridge-Newton, MA Metro Area
13. Orlando-Kissimmee-Sanford, FL Metro Area
14. Las Vegas-Henderson-North Las Vegas, NV Metro Area
15. Charlotte-Concord-Gastonia, NC-SC Metro Area
16. Nashville-Davidson-Murfreesboro-Franklin, TN Metro Area
17. Virginia Beach-Chesapeake-Norfolk, VA Metro Area
18. Houston-Pasadena-The Woodlands, TX Metro Area
19. Salt Lake City-Murray, UT Metro Area
20. Atlanta-Sandy Springs-Roswell, GA Metro Area
The study also highlights the top small cities for veteran entrepreneurs, which include:
1. Cheyenne, WY
2. Durham-Chapel Hill, NC
3. Sioux Falls, SD-MN
4. Rapid City, SD
5. Columbia, MO
6. Grand Island, NE
7. Colorado Springs, CO
8. Omaha, NE-IA
9. Fargo, ND-MN
10. Fayetteville, NC
11. Cape Girardeau, MO-IL
12. Lincoln, NE
13. Madison, WI
14. Lexington-Fayette, KY
15. Casper, WY
16. Boise City, ID
17. Portland-South Portland, ME
18. Abilene, TX
19. Grand Forks, ND-MN
20. Asheville, NC
Supporting Veteran Entrepreneurs
The PenFed Foundation’s Veteran Entrepreneur Program has been instrumental in assisting over 120 veteran and military spouse founders since its inception in 2018. The program offers mentorship, media training, and access to capital, primarily through its accelerator program located in Bentonville, Arkansas, and Tysons, Virginia. In 2026, the accelerator will expand to include San Antonio and Pittsburgh.
Additionally, the foundation plans to launch an Incubator program aimed at early and idea-stage businesses founded by veterans or military spouses. This initiative will focus on validating and shaping business concepts into viable, launch-ready models and will be introduced in five locations: Raleigh, NC; Pittsburgh, PA; Tysons, VA; New York, NY; and Boston, MA.
The PenFed Foundation for Military Heroes operates as a nonprofit organization dedicated to aiding veterans during their transition to civilian life. Since its establishment in 2001, the Foundation has provided more than $55 million in financial support to veterans, active-duty service members, and military families. Importantly, PenFed Credit Union covers all operational costs, ensuring that donations directly support programs designed to empower those who have served.
For further details about the study and the Foundation’s initiatives, visit www.penfedfoundation.org.
